Tue, Jun 2, 2026·Huntington Beach, California·City Council

City Council Public Finance & Authority Meeting Summary – June 2, 2026

Discussion Breakdown

Planning and Zoning15%
Public Safety13%
Cannabis Regulation12%
Procedural8%
Economic Development8%
Affordable Housing8%
Community Engagement6%
Public Engagement5%
Engineering And Infrastructure4%
Parks and Recreation4%
Technology and Innovation4%
Library3%
Personnel Matters2%
Pending Litigation2%
Fiscal Sustainability2%
Racial Equity1%
Elections Administration1%
Miscellaneous1%
Water And Wastewater Management1%

Summary

City Council Public Finance & Authority Meeting – June 2, 2026

The Huntington Beach City Council convened on June 2, 2026, for a regular meeting covering a wide range of agenda items including an appeal for a liquor license expansion at a bikini bar, the adoption of the Housing Element update, a proposed budget study session, and a proposal to allow casino advertising on lifeguard towers. The meeting opened with an invocation, Pledge of Allegiance, closed session report (directing litigation), council member comments, mayor's spotlight and business highlight segments, and community event announcements.

Consent Calendar

  • Items 18–22 and 24 were approved unanimously (6-0-1).
  • Item 23 (Greer Park grant application) was pulled for discussion and approved 6-0-1.
  • Item 24 (ordinance related to trash rate adjustments) was passed, but Councilmen Gruel and Williams later corrected their votes to "no," noting the item involved a tax increase if not passed.

Public Comments & Testimony

  • Agenda Item 13 (Distractions Lounge liquor license expansion):
    • Numerous speakers opposed the expansion, citing proximity to Westmont Elementary School, existing police calls (28 in three years, with 7 directly tied to the bar, including a rape incident and brandishing), neighborhood disturbances, and concerns about hard alcohol in a bikini bar environment.
    • Ocean View School District trustees and the board president urged denial, highlighting the cumulative impact of 10 nearby alcohol-serving establishments, and that the business is not a restaurant but a bikini bar.
    • A nearby resident reported drunk people entering his property, a neighbor's door being kicked in, and thefts.
    • The applicant’s representative argued the CUP would impose new conditions (not currently in place) and that calls for service are typical for such establishments.
  • Agenda Item 14 (Housing Element update):
    • Several speakers urged adoption, noting the city faces $50,000/month fines (starting June 1) and potential receivership, while losing state SB2 funds.
    • Others opposed, arguing the element is not fully compliant with HCD comments and that state housing mandates undermine local control.
  • Agenda Item 26 (Lifeguard tower casino advertising):
    • Some speakers opposed, calling it inappropriate for family beaches and normalizing gambling addiction; others supported the revenue opportunity.
  • General public comment: Speakers addressed the city’s refusal to accept an $825,000 library donation, the budget deficit, and the city’s litigation costs.

Discussion Items

  • Item 13 – Distractions Lounge (Type 48 liquor license appeal):
    • Council debated the public safety and neighborhood impacts versus the property rights and police-recommended conditions. The police captain stated only 7 of 28 calls over three years were directly related to the bar. The voting split 4-2 to approve the CUP with conditions.
  • Item 14 – Housing Element Update (General Plan Amendment):
    • Staff presented a revised element following a court order and HCD comments. The Kennedy Commission and others argued it remains non-compliant. Council voted 6-0-1 to continue the item to the June 16 meeting for further review.
  • Item 16 – Proposed FY 2026-27 Budget Study Session:
    • Council discussed the budget, including a request to allocate funds for batting cages (withdrawn after staff noted a larger sports complex proposal is forthcoming), and a request for quarterly budget reports. The budget was received and filed, with adoption set for June 16.
  • Item 26 – Lifeguard Tower Advertising Amendment (casino content):
    • Council debated removing the prohibition on gambling advertising to allow Yamava Resort & Casino to advertise on 10–12 towers, projected to generate over $300,000 in the last six months of 2026. The motion passed 4-3.

Key Outcomes

  • Denied the appeal of the Distractions Lounge CUP (4-2): Approved conditional use permit 25-027 for a Type 48 liquor license with 26 conditions.
  • Continued the Housing Element update to June 16, 2026 (6-0-1): Staff will address public and stakeholder comments.
  • Received and filed the FY 2026-27 proposed budget; adoption set for June 16.
  • Approved the lifeguard tower advertising amendment (4-3): Authorized content related to resorts/casinos, specifically for Yamava Resort & Casino.
  • Appointed the city manager to execute amended agreements and authorized staff to apply for an OCTA grant for Greer Park improvements ($600,000 grant + $316,000 city match).

Meeting Transcript

I'd like to call the meeting of the city council public finance and authority to order. Madam Clerk may have the roll call, please. Councilman Grohl. Here. Councilman Kennedy. Here. Mayor Potem Twine. Here. Councilman Burns. Present. Mayor McKeon. Here. Councilwoman Vandermark. Here. Councilman Williams? Here. All present. Madam Clerk, do we have any supplemental communications? Yes. For closed session, item number one, one email received regarding conference with labor negotiators concerning Huntington Beach Police Officers Association. Number three, one email received regarding conference with labor negotiators concerning the Huntington Beach Firefighters Association, HBFA. We have no one signed up to speak. All right. Close session announcement included in closed session. Conference with Labor negotiators, Government Code Section Five Four Nine Five Seven Point Six. We can see uh giving all the love that we share, and it's all I'm living for every day, every day. Every day, so I'm so glad that Jamaican, good evening. I'd like to reconvene the regular meeting of the City Council, Public Financing Authority, Madam Clerk, may I have the roll call, please. Councilman Gruell. Here. Councilman Kennedy. Here. Mayor Pro Tem Twining. Here. Mayor McKeon. Here. Councilman Burns. Present. Councilwoman Vandermark? Here. Councilman Williams. Yes. All present. Thank you. Tonight's invocation will be given by Heinty Beach Police and Fire Chaplain Roger Wing. Would you please join with me in prayer as we ask God's blessing on this evening's city council meeting? Lord, we thank you for bringing us back together again to discuss the issues of our city and to seek your guidance and direction to each council member as they prayerfully consider the direction that you would give them tonight. We pray for your wisdom and guidance as they discuss each of the issues on the agenda. May you lead them as they make important decisions this evening. And may you bring your peace, unity, and harmony through all the discussions.